To recap, SATS’s share price has risen by 6.2% to its Jan 10 closing price of $4.94 since OCBC upgraded the stock to “buy” last year on Nov 29.
SINGAPORE (Jan 11): OCBC Investment Research is downgrading SATS back to “hold” while raising its fair value to $5.34 from $5.23 previously, after updating its cost of equity (COE) assumptions to factor in its latest share price rally.
This is because the research house sees diminishing upside in the near-term post SATS’s recent price appreciation, considering how trade tensions and weaker sentiment have impacted emerging market (EM) currencies and trade volumes.
